Hiring guide in Morocco

What should I know about hiring in Morocco?

Legal framework

Types of employment contracts

In Morocco, employment contracts can be established as indefinite, fixed, or task-specific agreements. 

Fixed-term contracts are allowed under certain conditions to meet temporary company needs, such as replacing a suspended employee, managing temporary activity surges, or handling seasonal work in agriculture or tourism. These contracts generally last up to 1 year and automatically convert to indefinite-term if employment continues beyond this period.

In special cases, fixed-term contracts can be used for intermittent tasks, temporary events, or specific projects lasting no more than 1 year. They may also be used when the workload exceeds what can be managed by overtime or temporarily replacing an employee. Fixed-term contracts must be in writing and terminate upon expiration or completion of the work. Early termination without notice may result in damages equivalent to the remaining wages.

Content of an employment contract

The employer is required to provide the employee with written details regarding various conditions of employment. These include the working hours, weekly rest, details about wage payment, applicable health and safety rules, relevant collective agreements and their contents, the employer’s CNSS social security registration number, and the insurance organisation.

Employers must also update employees in writing about any changes to these conditions. Additionally, they must issue a “labour card” to each employee, which should be updated with any changes to the employee’s pay rate or job description. The labour card must include the employer’s details, the employee’s personal information, job start date, job description, and wage.

Download a free employment contract for Morocco through Native Teams.

Oral, written or electronic employment contracts

There’s no requirement that all employment contracts to be in writing; verbal agreements are legally valid. An employment contract is considered established as soon as there is mutual consent, where the employee agrees to work under the employer’s direction in exchange for remuneration.

Nevertheless, it is recommended that a written contract be created to ensure clarity and serve as evidence in case of any legal disputes. The written contract should be made in duplicate, signed, and authenticated by both parties, with one copy provided to the employee.

Regarding contractual formalities, while indefinite-term employment contracts do not need to be in writing and can be oral or inferred from evidence of an employment relationship, certain types of contracts must be documented in writing.

Probationary period

The rules for probationary periods vary between indefinite-term and fixed-term contracts. For indefinite-term contracts, either party can end the contract during the trial period without notice or compensation. The maximum durations for these trial periods are up to 15 days for blue-collar workers, 1 and a half months for white-collar workers, and 3 months for managers and similar staff.

In the case of fixed-term contracts, the probationary period has different maximum durations, which cannot be renewed. For contracts lasting less than 6 months, the probationary period is 1 day per week of employment, up to a maximum of 2 weeks. For contracts lasting 6 months or longer, the maximum probationary period is 1 month.

Working hours 

In Morocco, the standard statutory working hours for employees are generally set at 44 hours per week. However, this standard can be adjusted if the employment contract, the employer’s internal regulations, or a relevant collective agreement specifies a shorter workweek. 

Employers have the flexibility to distribute these weekly working hours either evenly or unevenly across the working days. Regardless of how the hours are distributed, employees must receive at least 1 day of rest per week.

Under certain circumstances, employers may calculate normal working hours on an annual rather than a weekly basis to better meet the company’s operational needs. In such cases, the statutory normal working time is set at 2,288 hours per year.

Breaks and night work

Female employees working night shifts in Morocco are entitled to a paid 30-minute rest break after every four hours of work. After childbirth, they are also granted paid breaks for breastfeeding during the first 12 months after returning to work. Shift workers must receive a break of up to 1 hour per shift.

There is no general statutory right to a minimum daily rest period, except for female employees and those under 18 who work at night—they must have at least 11 hours of rest between 2 night shifts.

Employees are entitled to a weekly rest period of at least 24 hours, typically observed on Friday, Saturday, Sunday, or the local market day. Generally, all employees in the same establishment receive their rest period simultaneously. 

Weekly rest periods can be postponed if required by the nature of the work or in cases of urgent tasks, provided compensatory time off is given within the following week. However, no postponements are allowed for employees under 18, female employees under 20, or employees with disabilities. Employers must inform public labour authorities and provide details about the affected employees and the duration of the postponement.

Overtime worked on a rest day is compensated more than regular overtime.

Annual leave

For employees under 18, the annual leave entitlement is 2 working days per month, totalling 24 days per year. After 5 years of service, annual leave increases by 1 and a half days every 5 years, up to 30 days per year. 

If a public holiday falls during annual leave, the leave is extended by a day. Sick days during annual leave, if certified, are not counted as leave. Compensatory rest days due to postponed weekly rest can also be added to annual leave.

Annual leave is calculated based on months where the employee works at least 26 days or 191 hours. Certain absences, like those for illness, occupational injuries, maternity, family reasons, or military service, are also included in the leave calculation.

Public holidays

In Morocco, public holidays are divided into national and religious holidays. National holidays include New Year on January 1, the Commemoration of the Presentation of the Independence Manifesto on January 11, Labour Day on May 1, Throne Day on July 30, Oued Ed-Dahab on August 14, the Commemoration of the Revolution of the King and the People on August 20, Youth Day on August 21, the Green March Festival on November 6, and Independence Day on November 18. Religious holidays include the First Moharram, Al Maoulid Day, Al Fitr Day, and the Al Adha Holiday.

Salary

In Morocco, paying wages is a crucial part of the employment contract, and failure to do so is a criminal offence, punishable by fines. Non-payment may also allow employees to resign and claim abusive dismissal.

Wages are usually agreed upon between employer and employee or set by a collective agreement, but courts can decide based on custom if no agreement exists. The Labour Code requires additional pay for overtime, public holidays, and seniority bonuses and regulates wage payments, deductions, and tips.

Employees must be paid even if they are unable to work due to uncontrollable circumstances. Wages are typically paid in Moroccan currency, with options for cash, cheque, or bank transfer. White-collar employees are paid monthly, and blue-collar workers are paid at least twice a month.

Employers must provide detailed payslips with each payment and keep a pay ledger. They cannot force employees to spend wages at specific shops or pay suppliers without employee consent.

To calculate the salary and taxes in Morocco, click here.

Sick leave

In Morocco, employees must notify their employer within 48 hours if they’re unable to work due to illness or injury.  For absences longer than four days, they must inform the employer of the expected duration and provide a medical certificate. The employer may require a medical examination at their expense during this time.

The employment contract is suspended during medically certified sick leave, with obligations on hold. If an employee is absent for more than 180 consecutive days in a year, the employer may consider them resigned. Employers aren’t legally required to pay during sick leave unless stated in contracts, collective agreements, or internal regulations. 

However, employees covered by CNSS can claim a sickness benefit after contributing for 54 days in the previous six months. This benefit starts on the fourth day of absence and covers up to two-thirds of regular wages for a maximum of 52 weeks within two years.

Parental leave

Maternity leave in Morocco can start up to seven weeks before and continue until 7 weeks after childbirth, ensuring a total of 14 weeks. If childbirth occurs early, unused antenatal leave can be added to postnatal leave. It’s mandatory for female employees to refrain from work during the first seven weeks after birth. Maternity leave can be extended to start eight weeks before birth if a pregnancy-related illness is certified.

After maternity leave, employees may request up to 90 additional days of unpaid leave for childcare, provided they notify their employer 15 days in advance. No CNSS benefits are available for this period. Additionally, employees can request up to one year of unpaid childcare leave with employer approval. Upon return, employees generally resume their previous job under the same conditions.

Paternity leave allows male employees three days off within the first month after childbirth, paid by the employer, with potential reimbursement from the CNSS.

Methods of employment termination

Termination is allowed in three primary cases: serious misconduct, such as theft or physical aggression, which warrants immediate dismissal; non-serious misconduct, where an employee can be terminated after four instances of minor infractions like repeated lateness within a year; and economic reasons, which involve a lengthy process typically due to financial difficulties, technological changes, or company restructuring.

Termination for poor performance is rare and must meet stringent criteria. Performance objectives must be mutually agreed upon in writing and be realistic and achievable. The employer must provide all necessary support, including training and resources, to help the employee meet these objectives.

Notice period and challenging the dismissal

The employer and the employee must follow a certain notice period when terminating an indefinite-term contract. 

The minimum statutory notice period varies based on the employee’s role and length of service. For managerial and professional employees, it ranges from 1 month for those with less than a year of service to 3 months for those with more than 5 years. 

For white- and blue-collar workers, the notice period is between 8 days and 2 months, depending on their service duration. If either party fails to observe the required notice period, they must compensate the other party with an amount equivalent to the wages for the unobserved notice period.

Rights and obligations of unemployed individuals

The type of termination affects the benefits an employee is entitled to receive.

For resignations, employees receive their final pay and any unpaid bonuses. If dismissed for serious misconduct, employees are not entitled to notice, compensation, or damages. In cases of dismissal for non-serious misconduct or redundancy, employees are eligible for severance pay and damages. Upon retirement, employees who have reached the legal retirement age and contributed to social security receive a monthly pension.

For self-employed entrepreneurs, termination of a contract does not mean the end of their business activities. They can continue to work independently and engage in new contracts without administrative oversight.

Morocco also provides unemployment support through the Job Loss Indemnity (IPE) for those who have lost their jobs involuntarily, offering assistance while they seek new employment. Understanding the eligibility criteria and application process for this support is essential.

Severance pay

Severance payments are determined based on an employee’s length of service. Employees with 6 months to 5 years of service receive 96 hours’ wages, those with 6 to 10 years receive 144 hours’ wages, those 11 to 15 years earn 192 hours’ wages, and those with more than 15 years receive 240 hours’ wages. 

This payment is based on the employee’s average wages over the 52 weeks before dismissal, including bonuses and work-related supplements, excluding expense reimbursements and hazardous work supplements. 

When terminating an employment relationship, the employer must secure the employee’s signature on a document confirming all payments due have been made. This document must itemise the payments, and the employee can revoke their agreement within 60 days.

Prohibition of competition 

For a non-competition clause to be valid and enforceable under Moroccan law, it must meet several strict conditions that balance the employer’s interests with the employee’s right to work freely. 

First, the clause must protect the employer’s legitimate interests, such as preventing the use of confidential information or client relationships to benefit a competitor. Second, it must specify a reasonable time period, ensuring the duration is not excessively long to avoid hindering the employee’s job prospects. 

Third, the clause must be limited to a specific geographical area relevant to the employer’s business, ensuring it does not overly restrict the employee. Finally, the clause must be proportionate to the employee’s role and responsibilities, with stricter conditions typically applied to higher-level positions.

Remote working policy

The Moroccan labour code does not specifically address telecommuting but requires employers to provide the necessary tools and equipment for employees to work effectively.

Salaries can only be reduced if there is a corresponding decrease in working hours, as outlined in the Moroccan labour code. Telecommuting employees retain all their employment rights, including health and safety protections, privacy, access to training, union information, social benefits, insurance for work-related accidents, and vacation entitlements.

Health and safety at home

Employers are responsible for keeping work premises clean and hygienic, ensuring sanitary conditions to protect employees’ health. This includes providing fire prevention systems, adequate lighting, heating, ventilation, soundproofing, drinking water, waste drainage, dust and fume control, as well as suitable changing rooms, toilets, and sleeping facilities. 

Employers must supply drinking water on construction sites and ensure sanitary housing with proper employee hygiene. Workplaces should be designed to ensure employee safety and accommodate disabled employees. All machinery, tools, and equipment must have effective safety devices and be properly maintained to prevent employee risks.

Intellectual property rights

In the employment context, Moroccan law generally grants the right to an industrial property title, like a patent, to the inventor or creator. However, when the inventor is an employee, ownership of IP created during employment follows specific rules. 

If an employee invents something as part of their job duties or while conducting studies and research assigned by their employer, the rights to the invention belong to the employer. This includes inventions made using the company’s resources or within the company’s area of activity, recognising the employer’s significant contribution to the creation of the IP.

For inventions made outside the employee’s official duties, the default is that the invention belongs to the employee. However, the employee must inform the employer if the invention is made during their employment, within the company’s field of activity, or using the company’s resources. The employer then has six months to claim ownership by filing a patent application.

Employee data privacy

The legislation for employee data privacy requires that personal data be processed in a fair and lawful manner, with collection done for specific, clear, and legitimate purposes. Any further processing must align with these original purposes. Employers must ensure that the data collected is appropriate, relevant, and not excessive for its intended use.

The legislation also emphasises the importance of accuracy, mandating that personal data be kept updated when necessary. Employers are responsible for correcting or deleting any inaccurate or incomplete data. Additionally, personal data should be stored to allow the identification of employees and job applicants only as long as necessary for its intended purposes.

What are the advantages of hiring employees from Morocco vs other countries?

Morocco’s time zone is close to that of Europe, making it easier to coordinate work schedules and collaborate in real-time with European teams. This proximity is an advantage over hiring from regions with significant time differences.

Beyond the similarities with time zones, Morocco’s cultural and business practices are often more aligned with European and Middle Eastern standards. This makes it easier for companies from these regions to integrate Moroccan employees into their corporate culture.

Finally, the country has a relatively stable political environment compared to other North African and Middle Eastern countries. Businesses looking to expand their operations can benefit from this predictable business climate.

Why use Native Teams for hiring in Morocco?

Native Teams lets you employ team members ‘like a local’ meaning you get all the benefits of a global team, wherever you are based. Here are the reasons why you should use Native Teams for hiring:

• No paperwork: We will handle all the necessary paperwork for you.
• Save on taxes: We help you handle your taxes.
• No company set up: You can expand your business using our company entitles.
• Online onboarding: We’re here to ensure your onboarding process is trouble-free.
• No accounting: We will handle all of your accounting needs, including invoicing, payroll, and more.
• Increase your profit: We assist you in growing your business and maximizing your profits.
• Compliance expertise: we can assist your company in navigating the regulatory environments and ensure you meet all relevant requirements.
• Local support: We can assist you in understanding and complying with the relevant local laws.